“In major U.S. cities (and a few other places around the world), workers for the ride-hail services organized protests ahead of Uber’s initial public offering on Friday. The company expects to be valued at more than $90 billion. [It priced Friday at $75.4 bn.] It isn’t profitable right now, hemorrhaging more than $1 billion a year as it subsidizes its service, which is why Uber has been squeezing driver earnings in recent months as it’s made its case to investors. That’s also why the gig workers who make up Uber’s driving fleet chose this of all weeks to make a very loud point.”
Slate
May 10, 2019
“When a troubled business model meets an angrier and angrier workforce, who wins?”
Reputation risk, a peril of anger and disappointment, can be seen in the behaviors of “employees,” for example.
For a broader view of reputation risk, discover additional articles by Steel City Re here, mentions of Steel City Re here, and comments on newsworthy topics by Steel City Re here. To read an abstracted summary of reputation risk, see below
Reputations are valuable strategic intangible assets. Threats to these assets⏤ enterprise reputation risks, often mislabeled “brand risks” ⏤ need to be managed, and management needs to be overseen through reputation risk governance lest reputational damage or reputational harm result in long-tailed go-forward losses in economic value and/or political power. Because these intangible risks arise from the interplay of stakeholder expectation, experiences, and media amplification, parametric insurances for intangible asset risks, for reputational value, for reputational harm, and for reputation assurance help mitigate risk by telling a simple, convincing and completely credible story of quality reputation governance to stakeholders. This story telling effect is the expressive power of insurance complementing insurance’s better known instrumental power of indemnification.
Risk management, risk financing in insurance captives, and risk transfer through reputation insurances comprise the constituent elements of a comprehensive solution.
What’s your strategy?